Boston City Council opens review of $4.64 billion FY25 operating budget

BOSTON — April 22, 2024 — Boston City Council opens hearings on Mayor Wu's $4.64 billion FY25 operating budget. Ways and Means Committee Chair Brian Worrell convened the session Monday with CFO Ashley Groffenberger and Budget Management Director Jim Williamson presenting a $344 million spending increase over FY24, driven primarily by $110.7 million in collective bargaining wage costs, $87 million in public education growth, and $60 million in rising pension and debt obligations. Property taxes are projected to supply 71 percent of general fund revenue, growing about 5 percent to roughly $159 million more than the prior year, while interest on city investments is expected to reach $100 million after the city earned $88 million in FY23. Councilors pressed the administration on $86.9 million in uncollected liens and property receivables, the phaseout of roughly $300 million in one-time federal ESSER funds from Boston Public Schools, and a voluntary PILOT program that leaves more than 52 percent of city property tax-exempt. The council is scheduled to vote on budget amendments June 5, with a potential mayoral veto response due June 26.